Head to Head Analysis: International Baler (OTCMKTS:IBAL) and Regal Rexnord (NYSE:RRX)

Regal Rexnord (NYSE:RRX) and International Baler (OTCMKTS:IBAL) are both industrial products companies, but which is the superior stock? We will compare the two businesses based on the strength of their dividends, risk, analyst recommendations, profitability, institutional ownership, earnings and valuation.

Earnings and Valuation

This table compares Regal Rexnord and International Baler’s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Regal Rexnord	$6.25 billion	1.42	-$57.40 million	($0.48)	-278.88
International Baler	$10.00 million	N/A	-$130,000.00	N/A	N/A

International Baler has lower revenue, but higher earnings than Regal Rexnord.

Insider and Institutional Ownership

99.7% of Regal Rexnord shares are held by institutional investors. 0.8% of Regal Rexnord shares are held by company insiders. Comparatively, 4.2% of International Baler shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Profitability

This table compares Regal Rexnord and International Baler’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Regal Rexnord	-0.48%	9.42%	3.86%
International Baler	N/A	N/A	N/A

Analyst Recommendations

This is a summary of recent ratings and price targets for Regal Rexnord and International Baler, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Regal Rexnord	0	1	5	0	2.83
International Baler	0	0	0	0	N/A

Regal Rexnord currently has a consensus price target of $192.00, indicating a potential upside of 43.43%. Given Regal Rexnord’s higher possible upside, equities research analysts plainly believe Regal Rexnord is more favorable than International Baler.

Summary

Regal Rexnord beats International Baler on 6 of the 9 factors compared between the two stocks.

About Regal Rexnord

Regal Rexnord Corporation manufactures and sells industrial powertrain solutions, power transmission components, electric motors and electronic controls, air moving products, and specialty electrical components and systems worldwide. The Industrial Powertrain Solutions segment provides mounted and unmounted bearings, couplings, mechanical power transmission drives and components, gearboxes, gear motors, clutches, brakes, special, and industrial powertrain components and solutions for food and beverage, bulk material handling, eCommerce/warehouse distribution, energy, mining, marine, agricultural machinery, turf and garden, and general industrial markets. The Power Efficiency Solutions segment offers AC and DC motors, electronic variable speed controls, and blowers for residential, commercial HVAC, water heaters, commercial refrigeration, commercial building ventilation, pool and spa, irrigation, agriculture, conveying, and general commercial equipment markets. The Automation and Motion Control segment provides conveyor products, conveying automation subsystems, aerospace components, rotary precision motion solutions, high-efficiency miniature motors, motion controls, automation transfer switches, and switchgear for industrial applications and automation systems for material handling, aerospace and defense, factory automation, data centers, medical device, packaging, printing, semiconductor, robotic, industrial power tool, mobile off-highway, food and beverage processing, and other applications. The Industrial Systems segment offers integral motors, alternators, and aftermarket parts and kits for agriculture, marine, mining, oil and gas, food and beverage, data centers, prime and standby power, and general industrial equipment markets. It sells its products directly to original equipment manufacturers, distributors, and end-users. The company was formerly known as Regal Beloit Corporation. The company was founded in 1955 and is based in Milwaukee, Wisconsin.

About International Baler

International Baler Corporation manufactures and sells baling equipment to compress various materials into bales for handling, shipping, disposal, storage, and recycling. The company offers general purpose horizontal and vertical balers for compaction of paper, corrugated boxes, and miscellaneous solid waste materials; and specialty balers, including scrap metal, drum crusher, textile, and double chamber balers that are used for textile materials, used clothing, aluminum cans, 55-gallon drums, and synthetic rubber. It also provides accessory equipment comprising conveyors, which carry waste from floor level to the top of horizontal balers; extended hoppers on such balers; rufflers, which break up material; electronic start/stop controls; hydraulic oil coolers and cleaners; fluffers; bale tying machines; and plastic bottle piercers, as well as service and repair work to general purpose and specialty balers. The company sells its products to waste producing retailers, manufacturing and fabricating plants, bulk material producers, solid waste recycling facilities, manufacturers of synthetic rubber and polymers, plastic and paper recycling facilities, textile and paper mills, power generating facilities, cotton gins, supermarkets and other retail outlets, and municipalities. In addition, the company markets its products through sales force, manufacturer's representatives, and dealers in the United States, Europe, the Far East, South America, and internationally. The company was formerly known as Waste Technology Corporation and changed its name to International Baler Corporation in March 2009. International Baler Corporation was founded in 1946 and is based in Jacksonville, Florida. International Baler Corporation is a subsidiary of Avis Industrial Corporation.